On October 11, 2023, Bristol-Myers Squibb (NYSE:BMY) received a lowered price target from Morgan Stanley in a research report issued to clients and investors. The brokerage reduced the price target from $57.00 to $56.00, while also assigning an “underweight” rating to the biopharmaceutical company’s stock. Morgan Stanley’s revised target price suggests a potential downside of 1.36% from the stock’s previous close.
During trading hours on Wednesday, NYSE BMY traded up $0.38, reaching $56.77. A total of 932,043 shares of the company’s stock were traded, compared to its average volume of 9,009,501 shares. With a market cap of $118.60 billion and a PE ratio of 15.10, Bristol-Myers Squibb is positioned as a significant player in the industry. The company also boasts a PEG ratio of 1.51 and a beta of 0.43. It has recorded a debt-to-equity ratio of 1.08, current ratio of 1.39, and quick ratio of 1.28.
Over the past year, Bristol-Myers Squibb has experienced fluctuations with its stock price ranging from a low of $55.69 to a high of $81.43 per share. Currently, it has a 50-day simple moving average value of $60.02 and a 200-day simple moving average value of $63.98.
Examining investor activity related to Bristol-Myers Squibb reveals that several large investors have made changes to their holdings recently: Dakota Wealth Management acquired new shares during the first quarter at an estimated value worth approximately $332,000; Covestor Ltd increased its holdings by acquiring an additional 1,082 shares in the last quarter; NewEdge Advisors LLC augmented its position by obtaining 57,444 additional shares; Ergoteles LLC initiated a new position during the first quarter with an estimated worth around $1,997,000; and, finally, Mackenzie Financial Corp elevated their stake by securing an extra 68,018 shares. Collectively, these actions taken by various institutional investors represent a significant portion of the company’s ownership.
In terms of financial performance, Bristol-Myers Squibb last reported its quarterly earnings results on Thursday, July 27th. The biopharmaceutical company disclosed an EPS of $1.75 for the quarter, falling short of analysts’ consensus estimates of $1.99 by ($0.24). Additionally, the company posted a return on equity of 50.51% and a net margin of 17.62%. Total revenue for the quarter amounted to $11.23 billion compared to a consensus estimate of $11.81 billion. In comparison to the same period in the previous year when it reported $1.93 earnings per share, the firm experienced a revenue decline of 5.6%. Sell-side analysts predict that Bristol-Myers Squibb will achieve an EPS of 7.42 for the current fiscal year.
In conclusion, Bristol-Myers Squibb faces a potential decrease in its stock price due to Morgan Stanley lowering its price target and assigning an “underweight” rating to its stock. The company’s recent financial performance also fell short of analysts’ expectations during its last quarterly report.
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Analyst Reports and Insider Transactions: Evaluating Bristol-Myers Squibb’s Performance and Investment Potential
On October 11, 2023, numerous equities analysts released reports on Bristol-Myers Squibb (BMY), a leading pharmaceutical company. These reports provide insights into the company’s performance and offer recommendations for investors.
Wells Fargo & Company is one of the firms that issued a report on BMY. In their research report, they downgraded the price target on Bristol-Myers Squibb from $78.00 to $65.00. They also assigned an “equal weight” rating for the company, indicating that they believe it will perform in line with other companies in the industry. This downgrade may come as a surprise to some investors who were expecting a higher price target.
Cantor Fitzgerald, another renowned financial services firm, reiterated their previous “overweight” rating on shares of Bristol-Myers Squibb. They also set a target price of $75.00 for the stock, suggesting that they expect it to outperform its peers in the market.
HSBC recently began coverage on shares of Bristol-Myers Squibb and expressed a more bearish outlook by assigning a “reduce” rating for the company. They also set a price objective of $56.00, implying that they anticipate a potential decline in value for BMY stock.
Meanwhile, Bank of America reduced their target price for Bristol-Myers Squibb from $85.00 to $80.00 while maintaining their “buy” rating. This indicates that despite lowering their expectations regarding the stock’s value, they still see long-term potential in investing in BMY.
Lastly, SVB Leerink reiterated a “market perform” rating on Bristol-Myers Squibb’s shares; however, further details about their analysis were not provided.
According to Bloomberg data, two investment analysts have rated BMY stock as sell, seven have given it a hold rating, and seven have issued a buy rating. This diverse range of opinions highlights the complexity surrounding Bristol-Myers Squibb’s performance and future prospects.
In other news related to Bristol-Myers Squibb, Executive Vice President Ann Powell recently sold a significant number of shares in the company. On August 24th, she disposed of 17,986 shares at an average price of $61.25 per share, resulting in a total transaction amounting to $1,101,642.50. Following this sale, Powell still retains 27,868 shares in the company, valued at approximately $1,706,915.
Another executive vice president at Bristol-Myers Squibb, Robert M. Plenge, also sold some shares on August 3rd. He disposed of 732 shares at an average price of $61.14 per share for a total transaction value of $44,754.48. Following this sale, Plenge holds 6,584 shares in BMY stock worth about $402,545.
These transactions were disclosed to the Securities and Exchange Commission (SEC) and are available for public access on their website.
It is worth mentioning that corporate insiders collectively own only 0.08% of Bristol-Myers Squibb’s stock as indicated by the disclosure made with the SEC. This relatively low ownership by insiders suggests that overall management does not have an overwhelming influence on the company’s operations or decision-making processes.
As investors navigate through these various reports and transactions involving Bristol-Myers Squibb (BMY), they should consider seeking advice from professional financial advisors before making any investment decisions related to this pharmaceutical giant. With such conflicting opinions and intricate details surrounding BMY’s performance and insider actions, cautious evaluation is vital to make well-informed choices for potential investments in Bristol-Myers Squibb stock.
